5. Financial Instruments - created from Mind Map

Definition of financial instrument Primary financial instruments Secondary (derivative) financial instruments Simple instruments Compound instruments Non-financial assets and liabilities

Recognition of financial assets and financial liabilities

Derecognition of financial assets and financial liabilities Transfers that qualify for derecognition Accounting for transfers that do not qualify for recognition Continuing involvement in transferred assets Derecognition of a financial liability

Classification of financial assets Business model Contractual cash flows that are solely payments of principal and interest on the principal outstanding Option to designate a financial asset at fair value through profit or loss

Classification of financial liabilities Option to designate a financial liability at fair value through profit or loss Embedded derivatives

Reclassification

Measurement Initial measurement Subsequent measurement Reclassification of financial assets Gains and losses Investments in equity securities Liabilities designated at fair value through profit or loss

Impairment of financial assets at amortised cost

Hedging Hedging instruments Hedged items Hedge accounting Fair value hedges Cash flow hedges Foreign currency denominated liability, which hedges and entity's net investment in a foreign operation Accounting hedge effectiveness

Presentation issues Classification as liabilities or equity Compound financial instruments Transactions in an entity's own equity instruments Classification of interest, dividends, gains & losses Set-off a financial asset and a financial liability Redeemable preference shares

Disclosure issues Scope & level of disclosure Statement of financial position Statement of profit or loss and other comprehensive income

5. Financial Instruments